Available freshwater per capita in the Middle East is a mere 1,200 cubic meters per year. That amount is almost 6 times less than the world average of 7,000 cubic meters.
According to the World Bank Group, annual available freshwater in the Middle East ranges from a maximum of 1,800 cubic meters per person in Iran to under 200 cubic meters in Jordan, West Bank (Gaza) and Yemen – 35 times less than the global average.
The water situation in the Middle East is getting worse. The World Bank Group estimates that average available water per Middle Easterner will drop to about 500 cubic meters by 2025.
Ironically, many Middle Eastern nations consume water at the highest rates per person in the world. Aqua Terra Asset Management writes that the United Arab Emirates (UAE) has some of the world’s highest water consumption rates – more than three times the global average.
Middle East Water Challenges
The following factors severely stress Middle East freshwater supplies.
- Agricultural irrigation consumes about 90% of Middle Eastern water resources.
- Frequent and long-lasting droughts also impede the economic growth of many Middle Eastern countries.
- A rising Middle East population is adding to the demand for potable water.
- Higher household incomes are pushing freshwater requirements sharply upwards.
Recalling China’s water pollution issues, poorly treated waste water contaminates much of the Middle East’s water resources. In particular, rural areas lack access to clean water where families suffer health problems because of poor sanitation.
Middle East Water Opportunities
The Middle East offers strong opportunities for companies like France’s Veolia Environnement to engineer water delivery systems and Japan’s Kubota to make equipment that improves water quality.
To reduce the amount of water used for irrigation, some Middle Eastern countries are importing water-intensive crops like wheat rather than growing their own. This international trade trend bodes well for Canada, a major wheat exporting country.
About US$117 billion is expected to be invested in Middle Eastern desalination plants between 2005 and 2015. According to Aquastat, wealthier Arab countries including the United Arab Emirates (UAE) are world leaders in desalinating sea water. The UAE plans to spend US$7 billion on desalination projects by 2015.
Here are some other key facts and trends arising from water scarcity in the Middle East.
- Today, Middle Eastern countries own about 60% of the world's desalination plants, with Saudi Arabia dominating about one quarter of the market.
- Aqua Terra research reveals that Ashkelon, Israel is home to world's largest desalination plant.
- Although the international transportation of water is prohibitively expensive, water is so scarce in the Middle East that sea tankers already deliver freshwater between Turkey and Israel.
- Large multinationals are keenly aware of the skyrocketing demand for water in the Middle East. Bottled water makers of Dasani (Coca-Cola) and Aquafina (PepsiCo) both enjoyed beverage volume growth in the Middle East up 11% in 2006, while General Electric (GE on NYSE) continues to work on a major desalination project in Kuwait.
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